How Much Does an Electric Furnace Cost in 2024?

Many eco-conscious homeowners now invest from $2,200 to $7,780 in electric furnaces, pairing them with renewable energy sources. Compared to old-school alternatives like gas and oil, energy furnaces do not rely on combustion fuels, meaning you can eliminate the risks of carbon monoxide poisoning and gas leaks. Even though the average electric furnace price is $4,600 with installation included, you can find some low-end options running at $1,650. However, high-capacity furnaces baked by warranties and labeled by renowned brand names can set you back $13,000 installed. 

The electric heating system cost

Electric Furnace Installation Cost Breakdown

Do you live in a warm US state or have no access to natural gas? An electric furnace can become a boon for your household if chosen correctly. From size to brand to extra features, many aspects can shape the prices of electric furnaces. You should also make allowances for regional market differences and installation complexities, which can impact further the overall expense. Let’s view the most influential factors below. 

If you don’t have time to weigh all the pros and cons of all the electric furnace options available on the market, you can use the MyHomeQuote platform to request quotes. We partner with qualified HVAC experts across the USA and can connect you with the best local ones. Fill out the request form to specify your concerns.

Electric Furnace Prices by Size

The electric furnace’s output (measured in BTUs) determines whether you will spend $730 or up to $4,500 for a unit alone. Factors like the home’s square footage, insulation, and local climate can tell you how many BTUs your electric furnace must have to keep the space warm. Suppose you need an electric furnace for a 2,000-sq-ft home. In this case, a 70,000-BTU furnace can be the best choice to ensure adequate heating. Most residential properties require a unit of between 20,000 and 120,000 BTUs.

The new electric furnace cost by size

Electric Furnace Cost by Brand

With dozens of brands in the market, it can be easy to make a wrong decision while paying over the odds – $700 vs. $5,674. Big names like Winchester and King Electric are notable for their top quality and reliability, but their pricing policy is far from pocket-friendly. You may find more affordable alternatives depending on your budget and efficiency preferences. 

If high efficiency is your top priority, go for multi-speed blowers. They offer a compromise with settings for both low and high speeds, allowing for better energy conservation than single-speed units. Please note that some top-rated electric furnaces have variable-speed (ECM) blowers that adjust speeds to provide precise temperature control and improved energy efficiency. 

The cost of a new electric furnace by brand

**Winchester 51,182 BTU mobile home electric furnace from $1,375, according to Home Depot

**Goodman forced air MBVC 1201 CFM variable speed from $872, according to AC Direct

**Direct Comfort forced air MBVC 1201 CFM variable speed from $854, according to AC Direct

**Stelpro 22500W/1690W electric furnace w/ ECM motor from $2,398, according to HomElectrical

Labor Electric Furnace Installation vs. Replacement Costs

When comparing the labor costs of installing a new electric furnace and replacing an existing one, you might be surprised by the price gap.HVAC technicians generally charge between $75 to $150 per hour, with an added $35 to $60 hourly per assistant. The time required to install or replace a furnace ranges from 5 to 19 hours. 

Installing a unit from scratch can take 5 to 10 hours, depending on the project’s complexity. Meanwhile, replacements, especially those including conversion from gas to electric systems, may require up to 19 hours due to the extra steps involved in removing the old unit and making adjustments. Thus, the electric furnace replacement costs from $800 to $2,800 in labor, while installation can set you back $700 to $2,500. 

However, the situation (your outlay) can dramatically change once you need to retrofit a new electric furnace in a house without preexisting ductwork. In this case, you will have to cover the expenses for electrical upgrades, new duct installation, and other modifications. Additionally, labor fees are always higher for challenging working conditions.

The cost of an electric furnace by labor

Additional Factors Affecting the Cost to Replace the Electric Furnace

Believing that an HVAC specialist will come, remove an old unit, and immediately install a brand-new one is nothing but wishful thinking. Real-life projects often call for extra services to make your heating system function like a well-oiled machine. Thus, whether you calculate the cost to replace an oil furnace with an electric one or install a latter from ground zero, you need to include possible extra expenses in your estimate.  

Electrical Circuit and Wiring

If you don’t want to switch to another model of an electric furnace but install the latter from the outset, you’ll have to fork out from $520 to $2,100 for a new electrical circuit. Homeowners face these expenses when they decide to install an electric furnace in a place lacking appropriate electrical wiring or needing upgrades to accommodate increased amperage. Please note that an HVAC contractor can hardly handle this job, so you’ll have to hire an electrician, whose hourly rate can fluctuate between $50 to $160. 

Ductwork 

Running new ductwork for heat distribution costs $35.50 to $57 per linear foot, with total expenses ranging from $510 to $4,100 for a mid-sized home. If you have ductwork in place, a specialist may recommend checking it out and cleaning it to enhance your system’s efficiency and improve air quality. Such add-on service can set you back $280 to $500.

Obtaining Permits

Installing an electric furnace requires obtaining a building permit, which can cost $220 to $550. Smaller towns tend to offer more affordable rates for permits and licenses, whereas larger metropolitan areas often have higher fees due to increased administrative costs and regulatory requirements. In most cases, HVAC contractors undertake paperwork to ensure compliance with local building codes.

Framing 

If you don’t want to compromise your home aesthetics and frame out a separate furnace room, you should set aside $1,000 to $3,200. You can use your attic, basement, or crawlspace to bring this idea to life, as adequate ventilation is essential for the furnace to operate efficiently. However, when budgeting, you should keep in mind that you can eliminate this investment if you don’t feel like making it. 

Thermostat Replacement

If your current thermostat malfunctions, add its replacement costs – $100 to $250 – to the overall budget. High-tech smart thermostats are generally priced at the higher end of this range. Installing a spic-and-span thermostat in a different location within your home can be costlier, as you will have to cover wiring adjustments, running at $330. Hence, you should factor in these nuances when planning your upgrade to avoid any surprises.

Removal and Disposal

Disposing of an old electric furnace when replacing it costs between $100 and $350. Remember that not all contractors include the disposal fee in their installation quotes, so it is worth checking that beforehand. If you are inclined to manage the disposal independently, consider contacting a local recycling center or scrap yard, which may offer convenient options for responsible disposal practices.

The cost of an electric furnace by additional services 

Mobile Home Electric Furnaces 

Replacing a mobile home electric furnace ranges from $960 to $3,000 for models with 35,000 to 70,000 BTUs, while new units alone are priced between $460 and $1,500. These units come with a blower and are usually set up as downflow installations, given that most ductwork in mobile homes runs beneath the floors. Electric furnaces are popular in mobile homes as they do not require gas lines and do not emit carbon monoxide, saving owners the trouble of investing in extensive venting.

How Much Does It Cost to Convert a Gas Furnace to Electric?

If a gas furnace no longer speaks to you, you can convert it to an electrical alternative, investing from $3,100 to $10,500. Your outlay may vary depending on your home’s floor plan, the furnace location within the house, and any necessary modifications to electrical systems or ductwork. Homeowners often need a 200-amp panel to ensure efficient operation of the new furnace and all the household appliances. 

If modifications extend to the home’s ductwork, replacing ducts and vents can add $1,400 to $5,600 to the overall electric furnace cost installed. This step becomes necessary if the existing ductwork is the wrong size, type, or worn-out. With such upgrades, your new electric furnace will provide optimal heating without compromising safety or functionality.